Alcatel-Lucent Names Chief to Lead a Major Downsizing

BERLIN — Alcatel-Lucent, the struggling French telecommunications equipment maker, on Friday hired a former Vodafone and France Télécom executive, Michel Combes, to lead the company through what might be a major downsizing.

Mr. Combes, 51, will take over for Ben Verwaayen, who had failed in four years to bring the equipment maker, created by the 2006 merger of Alcatel of France and Lucent Technologies of New Jersey, to sustained profit.

Mr. Combes left Vodafone last summer after agreeing to take over as chief executive of SFR, a French mobile operator owned by Vivendi. But he withdrew from the job after the sudden departure of Jean-Bernard Lévy as Vivendi’s chief executive.

In brief remarks to senior executives this morning in Paris, Mr. Combes said he planned to conduct a “listening tour” of employees, shareholders and other stakeholders before formulating a strategy for Alcatel-Lucent, which lost 1.4 billion euros ($1.9 billion) in 2012.

The company is in the midst of cutting 7 percent of its global work force, 5,500 of 76,000 jobs, by the end of this year.

In a statement, Mr. Combes said he would work to return Alcatel-Lucent to lasting profitability, something that has eluded it since the trans-Atlantic merger.

“This is a company I know well,” he said in a statement, “and I look forward to succeeding Ben, working with the key international customers and driving the business into sustained profitability for its customers, employees and shareholders.”

Alcatel-Lucent’s shares fell 1.8 percent, to 1.12 euros, in Paris trading after the announcement. Alexander Peterc, an analyst at Exane BNP Paribas in London, said investors had hoped for an executive with more of a track record as a cost-cutter. He said that Mr. Combes should quickly identify which businesses were for sale.

The company has indicated that its optical submarine cable business and its enterprise business of selling equipment to large companies and organizations are on the block, Mr. Peterc said.

“Alcatel-Lucent is in a crisis situation, and even just identifying which businesses it intends to sell would be a step forward that could save thousands of jobs,” Mr. Peterc said. “They have tried for six years since the merger and have spent 4 billion euros on restructuring to turn this company around, and it hasn’t worked yet.”

Mr. Verwaayen, the former chief of the British telecom operator BT, integrated the Alcatel and Lucent product lines and organizations under a unified brand. When he announced on Feb. 7 that he would step down, he said in a call with analysts that the company was reviewing its entire business portfolio with an eye to possible asset sales.

In December, the company secured 1.62 billion euros in emergency financing from Credit Suisse and Goldman Sachs to buy more time. As a condition of the loans, the company pledged a percentage of revenue derived from future asset sales.

Martin Nilsson, an analyst at Handelsbanken in Stockholm, said Mr. Combes would most likely be forced to take major steps to expedite the resizing of Alcatel-Lucent, including selling some businesses. Only 12 percent of the company’s work force, roughly 9,000 people, is in France. The rest are spread around the world, mostly in the United States, China, India, the Netherlands, Japan and South Korea.

“I think irrespective of the C.E.O. they had chosen, this is the main challenge for Alcatel-Lucent at this time,” Mr. Nilsson said. “It has been seemingly very difficult for this company to reach sustained profitability.”

In another potential signal that Alcatel-Lucent may be entering a phase of greater reorganization, the company announced that it had appointed Jean C. Monty, the former president and chief executive of Nortel Networks and Bell Canada, vice chairman of the board, a new position.

Philippe Camus, the Alcatel-Lucent chairman, said in a statement that Mr. Monty would be working closely with Mr. Combes to sort out the company’s future.

“We are fortunate to have such an experienced colleague to support Michel Combes in his new role,” Mr. Camus said. “I’m looking forward to working more closely with Jean, and I’m convinced Alcatel-Lucent will benefit from his incredible knowledge of our business.”

Mr. Nilsson said that Alcatel-Lucent’s turnaround would not be easy. Selling money-losing businesses and cutting research and development spending to increase profit will decrease Alcatel-Lucent’s base of sales and could limit its future growth potential by slowing the development of new products.

“It is very easy for tech companies to get into a downward spiral,” Mr. Nilsson said.

Alcatel-Lucent has declined to say which businesses it might sell. In 2012, sales fell more than 20 percent in its optical networking business and 17 percent in wireless networking. It blamed the lower sales on the rapid transition by United States operators to faster network gear based on Long Term Evolution technology, which reduced demand for Alcatel-Lucent’s second- and third-generation products.

This article has been revised to reflect the following correction:

Correction: February 22, 2013

An earlier version of this article misspelled, in one reference, the last name of the departing Alcatel-Lucent chief executive. He is Ben Verwaayen, not Verwaaven. It also misspelled the given name of an Exane BNP Paribas analyst. He is Alexander Peterc, not Aleksander. Additionally, an earlier summary for the article misstated the size of Alcatel-Lucent’s loss in 2012. It was 1.4 billion euros, not 1.4 euros.

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Bulgari shows off Liz Taylor's gems

It isn't easy sometimes to be an ordinary person in Los Angeles, so near to and yet so far from the city's glamorous events.

You hear about the grand Oscar parties, but you will never be invited. The award ceremony may be taking place minutes from where you live, but you watch it at home, on TV, in your sweat pants — and you might as well be in Dubuque.

Rodeo Drive too can make you feel like a scrap on the cutting room floor. As you stroll the wide and immaculate sidewalks of Beverly Hills' iconic shopping street, you pass by boutiques you'd feel self-conscious walking into. In the windows are baubles and trinkets you could never in three lifetimes afford.

Which is why it is rather nice to be invited to make a private appointment at the house of Bulgari, the fine Italian jeweler that opened its doors in 1884.

Elizabeth Taylor loved Bulgari jewels. Richard Burton, whose torrid affair with her began during the filming of "Cleopatra" in Rome, accompanied her often to the flagship shop on the Via Condotti. He liked to joke that the name Bulgari was all the Italian she knew.

So it is fitting that starting Oscar week, the jeweler is celebrating the Oscar-winning star with an exhibit of eight of her most treasured Bulgari pieces.

They are heavy on diamonds and emeralds — of rare size, gleam and value.

And Bulgari knows their value well.

After Taylor's death, it reacquired some of the gems at a Christie's auction. One piece, an emerald-and-diamond brooch that also can be worn as a pendant, sold for $6,578,500 — breaking records both for sales price of an emerald and for emerald price per carat ($280,000).

That brooch, whose centerpiece is an octagonal step-cut emerald weighing 23.44 carats, was Burton's engagement present to Taylor. He followed it upon their marriage (his second, her fifth) with a matching necklace whose 16 Colombian emeralds weigh in at 60.5 carats. Bulgari bought the necklace back too, for $6,130,500.

They are in the exhibit, along with Burton's engagement ring to Taylor and a delicate brooch — given to her by husband No. 4, Eddie Fisher — whose emerald and diamond flowers were set en tremblant so that they gently fluttered as Taylor moved.

The jewels are not for sale.

On Tuesday night, actress Julianne Moore wore the Burton necklace, with pendant attached, at a gala for Bulgari's top clients. At the dinner hour, guests were escorted along a lavender-colored carpet to a nearby rooftop that had been transformed into a Roman terrace.

Those honored guests, of course, got private viewings of Taylor's jewels.

But so did Amanda Perry, a healer from West Hollywood who arrived the next morning for one of the first appointments available to the public.

Someone had emailed news of the collection to the 35-year-old Taylor fan. She walked in off the street Tuesday, when the exhibit was open only to press — and Sabina Pelli, Bulgari's glamorous executive vice president, fresh from Rome, was taking sips of San Pellegrino brought to her on a silver tray between back-to-back interviews that started at 5 a.m.

The camera crews were long gone when Perry came back Wednesday. She had the exhibit, and handsome sales associate Timothy Morzenti of Milan, entirely to herself.

In a black suit, still wearing on his left hand the black glove he dons to handle fine jewels, Morzenti whisked Perry off via a private elevator to the exhibit on the second floor. The jewels stood in vitrines mounted high off the ground. Behind them were photos and a slide show of Taylor, bejeweled.

"Which piece would you like to see first?" Morzenti asked her as a security guard stood by. "I personally love the emerald ring."

Then he proceeded at leisure to explain Bulgari-signature sugar-loaf cuts and trombino ring settings, while tossing in occasional Taylor stories.

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Large coats a mainstay for next winter from Milan

MILAN (AP) — Many of the fashions displayed on the Milan runway Thursday had a yesteryear appeal — but with a contemporary edge.

Coats are a mainstay for next winter, many of them oversized with accentuated cuffs — part of a trend toward architectural references in clothing. Fur coats and jackets make the biggest comeback in many a season, perhaps appealing to new markets in cold weather climates, and certainly fitting for the snowy Milan weather.

Many of the styles, from the flared skirts to belted suits, recalled couture favorites from earlier fashion eras. However, the styles were updated by paring down the silhouette and using coarse fabric for elegant wear that in the past has been associated with silkier materials.

Spandex gave a modern glint to looks, including form-fitting dresses, jumpsuits and turtleneck tops, which were softened with sewing details or by coupling them with softer materials like fur and cashmere. For romantic looks, there was lace paired with leather or animal prints for a new twist. Gold lame and sequins add luxury to sensual evening wear.

The palette featured a lot of blues, green, red, some white and flashes of yellow along with mainstay black.

Hardy, practical shoes were a mainstay, but designers aren’t neglecting pretty looks and are still coming up with sandals, pumps and feminine slippers and booties.

Bags tend to be large, but not huge, and no few have a Mary Poppins practicality.

PRADA

The Prada finale was a long luxurious mink coat with ample collar and cuff like the ones the Hollywood divas used to wear in the 1950s. Underneath the model wore a sheer see-through silk dress.

It was only the showiest item of the winter collection presented Thursday evening, based on yesteryear luxury, from the opulent coats to the gilded gowns to the mink wraps.

Miuccia Prada season after season has a fashion vision, and follows it through regardless. This round she revisits vintage couture in a contemporary context.

Coats have extra wide cuffs and are often belted at the waist and flared toward the bottom. Skirts come in wide ballerina styles, as do some the dresses. The jumper dress is another 1950s look, which Prada revisits, even for evening, not to mention the many coat dresses in the collection.

Totally Prada, and anything but retro, was the uneven hemline (one side much longer than the other) that the designer used for daytime belted sheaths as well as gilded, belted gowns.

Fabrics ranged from coarse tweeds to shimmering metallic materials, plus leather and fur. Crocodile takes on new importance when used not only for bags, but also for skirts and even a suit.

The latest Prada shoe, either a sandal or a bootie, has a thick high heel, but a heavy rubber sole.

The sides of the voluminous bags in tweed and leather, including crocodile, were folded in such a way to give the impression of a feline face, perhaps inspired by a video of a cat that was part of the background of the show.

FENDI

Fendi is to fur what Ferrari is to cars. Yet given current concerns about animal rights, the brand has moved from the lavish fur coats that were all the rage in the 1980s to a more discreet way of interpreting fur as fashion.

Fendi creative director Silvia Venturini, daughter of one of the company’s five founding sisters, opted for wisps of fur used as hair decorations, bracelets, or charms hanging from Fendi bags.

Fur also appeared as inserts in a skirt or a dress, or sheered and fashioned into a cozy, but not showy, jacket. Long fur, usually goat, also seen on other runways during Milan’s preview showings, was used to make up a skirt or a cape.

For decades, German born designer Karl Lagerfeld has been working with Fendi, adding his flamboyant designing talent to their creative genius.

This round he offered a constructed slim silhouette, with accentuated shoulders and a knee-length hemline. The look is sophisticated rather than sexy and used deep, dark shades of red and blue, which along with black are becoming the staple colors for next winter.

In the accessory department, Fendi chose to reinvent its iconic handbags, from the clutch bag — this time furry — to a modern version of the Mary Poppins bag.

The shoes are sure to be a winter hit. Whether a pump, a boot or a lace-up, each pair was elaborately decorated, some in fur, and comes with a pointed toe and a glistening mirrored high heel.

BLUGIRL

Blugirl has looks for women feeling both demure and daring at the same time — mixing traditional tartan, peek-a-boo lace and bold leopard prints.

The women’s wear collection for next winter, took as its muse the British style icon Alexa Chung. The label described Chung’s style as “midway between tradition and urban accents, ultra-cosmopolitan, always cool.”

Designer Anna Molinari’s collection started off with a preppy coed look: green, red and navy plaid skirts, sometimes pleated, or pencil pants paired with oversized green sweaters, pullovers or cardigans. Shoes were leather ankle boots, worn with short, dark socks.

The outfits transitioned into more feminine territory. A tartan-printed taffeta bubble skirts paired was with a ruffle-neck lace shirt and topped with a loose-fitting leopard-print jacket, leading off an array of looks combining plaid, lace and leopard. Here the preferred shoe was the pump.

The collection finished with a flash of gold, with sequined evening dresses and skirts.

Dragon and swan motifs gave a nod to Chung’s British-Chinese heritage. Commanding dragon shaped necklaces and Chinese-style jackets offered Asian flair, while sequined kissing swans on evening wear were reminiscent of an English park.

The looks were finished with small shoulder bags in leopard print, tartan or sequins, strapped across the body for the stylish girl-on-the-go.

MAX MARA

The German Bauhaus design school gave a sophisticated clientele functional yet elegant design in everyday objects, like chairs and teapots, as well as living and working spaces. On the runway in Milan, Max Mara struck the same note of functional elegance in its Bauhaus-inspired women’s wear show.

The collection for next winter was, fittingly, highly structured.

The coats alone were a feat of layered and textural complexity. A hooded overcoat, worn open over the shoulders with empty sleeves hanging, accompanied another interior jacket with a nubby texture.

Often, the overcoat sleeves were rolled up to reveal another layer of, say, spandex, which contrasted with the satiny coat lining. Leather patches emphasized rounded shoulders.

Max Mara’s heritage of practical luxury was highlighted by its focus on new camel fabrics for their coats, including spun alpaca and mouflon wool. From super-functional camel, the color palette then progressed to a deep yellow and onward to decidedly urban shades of gray, black and midnight blue — a nod to the Bauhaus inspiration.

The silhouette ranged from skinny pencil skirts paired with long sweaters for the office or loose-fitting pajama pants for relaxed afternoons. Shoes emphasized comfort — sneakers — but were built from luxury materials like suede and leather. Boston bags were made from leather and crocodile prints.

DSQUARED2

Both the masculine and feminine sides of the DSquared2 label were shouting over each other for attention.

The collection for next winter featured over-the-top masculine tailoring balanced with oversized jewels.

For daytime, the look was gangster chic, with loose-fitting men’s double-breasted suits worn with nothing more than a dickey underneath and topped with exaggerated bowler hats — pink with purple ribbon. Pencil skirts paired with belted jackets, one with layered, architectural lapels.

But for nighttime, the mood was more speak easy slinky with silky dresses with an asymmetrical, trailing feather boa hemline or a fur stole — a favorite on Milan runways this season.

Designing twins Dean and Dan Caten showed at night for the first time in a while, giving up their closing day slot.

JUST CAVALLI

Designer Roberto Cavalli drew inspiration for his second line “Just Cavalli” collection, from a recent trip to Thimphu, the capital of Bhutan, at the foot of the Himalayas.

“Riches there are measured by the values of happiness,” the designer said ahead of the show, which had an ethnic, almost hippie feel to it.

Almost the entire collection came in subdued native prints, fashioned in anything from tunics over pants to colorful evening gowns. Accessories included long silk necklaces like the ones worn by the Bhutan nobility, and a backpack to replace the more urban handbag.

Many designers are featuring fur this round of preview shows, including Cavalli who used it mainly to trim the hoods of his winter parkas. That was enough to draw the wrath of a small group of animal rights activists who disrupted the show holding up signs in Italian saying, “Your fashion is our death,” until they were forcibly removed.

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Living With Cancer: Arrivals and Departures

After being nursed and handed over, the baby’s wails rise to a tremolo, but I am determined to give my exhausted daughter and son-in-law a respite on this wintry evening. Commiserating with the little guy’s discomfort — gas, indigestion, colic, ontological insecurity — I swaddle, burp, bink, then cradle him in my arms. I begin walking around the house, swinging and swaying while cooing in soothing cadences: “Yes, darling boy, another one bites the dust, another one bites the dust.”

I kid you not! How could such grim phrases spring from my lips into the newborn’s ears? Where did they come from?

I blame his mother and her best friend. They sang along as this song was played repeatedly at the skating rink to which I took them every other Saturday in their tweens. Why would an infatuated grandma croon a mordant lullaby, even if the adorable one happily can’t understand a single word? He’s still whimpering, twisting away from me, and understandably so.

Previously that day, I had called a woman in my cancer support group. I believe that she is dying. I do not know her very well. She has attended only two or three of our get-togethers where she described herself as a widow and a Christian.

On the phone, I did not want to violate the sanctity of her end time, but I did want her to know that she need not be alone, that I and other members of our group can “be there” for her. Her dying seems a rehearsal of my own. We have the same disease.

“How are you doing, Kim?” I asked.

“I’m tired. I sleep all the time,” she sighed, “and I can’t keep anything down.”

“Can you drink … water?” I asked.

“A little, but I tried a smoothie and it wouldn’t set right,” she said.

“I hope you are not in pain.”

“Oh no, but I’m sleeping all the time. And I can’t keep anything down.”

“Would you like a visit? Is there something I can do or bring?” I asked.

“Oh, I don’t think so, no thanks.”

“Well,” I paused before saying goodbye, “be well.”

Be well? I didn’t even add something like, “Be as well as you can be.” I was tongue-tied. This was the failure that troubles me tonight.

Why couldn’t I say that we will miss her, that I am sorry she is dying, that she has coped so well for so long, and that I hope she will now find peace? I could inform an infant in my arms of our inexorable mortality, but I could not speak or even intimate the “D” word to someone on her deathbed.

Although I have tried to communicate to my family how I feel about end-of-life care, can we always know what we will want? Perhaps at the end of my life I will not welcome visitors, either. For departing may require as much concentration as arriving. As I look down at the vulnerable bundle I am holding, I marvel that each and every one of us has managed to come in and will also have to manage to go out. The baby nestles, pursing his mouth around the pacifier. He gazes intently at my face with a sly gaze that drifts toward a lamp, turning speculative before lids lower in tremulous increments.

Slowing my jiggling to his faint sucking, I think that the philosopher Jacques Derrida’s meditation on death pertains to birth as well. Each of these events “names the very irreplaceability of absolute singularity.” Just as “no one can die in my place or in the place of the other,” no one can be born in this particular infant’s place. He embodies his irreplaceable and absolute singularity.

Perhaps we should gestate during endings, as we do during beginnings. Like hatchings, the dispatchings caused by cancer give people like Kim and me a final trimester, more or less, in which we can labor to forgive and be forgiven, to speak and hear vows of devotion from our intimates, to visit or not be visited by acquaintances.

Maybe we need a doula for dying, I reflect as melodious words surface, telling me what I have to do with the life left to be lived: “To love that well, which thou must leave ere long.”

“Oh little baby,” I then whisper: “Though I cannot tell who you will become and where I will be — you, dear heart, deliver me.”

---

Susan Gubar is a distinguished emerita professor of English at Indiana University and the author of “Memoir of a Debulked Woman,” which explores her experience with ovarian cancer.

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Citi Changes Terms of Executive Bonuses

Citigroup responded to anger about the size of its executive pay packages on Thursday by changing the way it calculates the bonuses given to top executives.

Starting with last year’s compensation, a portion of the bonuses paid out to Citi’s executives will now be linked to the company’s performance relative to that of other big banks.

Citi has been a prominent symbol in the debate over the scale of executive compensation on Wall Street. The changes announced Thursday come less than a year after Citigroup shareholders voted against a $15 million pay package for Vikram S. Pandit, then the bank’s chief executive.

After that vote, Citi’s chairman, Michael O’Neill, took the reins of a five-member group last April assigned to review executive pay. “When our shareholders spoke last year about Citi’s compensation structure, we listened,” Mr. O’Neill said in a regulatory filing.

The change in the compensation structure was prompted by a desire to “more strongly connects compensation with performance,” Mr. O’Neill said in the filing.

Nell Minow, a shareholder advocate at GMI Ratings, said that “it’s a huge step forward from terrible, which is what it was.”

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Interstate 5 reopens through the Grapevine

From Times Staff

February 20, 2013, 9:44 a.m.

The California Highway Patrol has reopened a stretch of Interstate 5 through the Grapevine that was closed earlier today because of ice.

The highway was opened to vehicles with escorts at about 9:15 a.m., said CHP Officer Ed Jacobs. The freeway was closed between Castaic and Grapevine Road about 6:35 a.m., Jacobs said.

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Well: Effects of Bullying Last Into Adulthood, Study Finds

Victims of bullying at school, and bullies themselves, are more likely to experience psychiatric problems in childhood, studies have shown. Now researchers have found that elevated risk of psychiatric trouble extends into adulthood, sometimes even a decade after the intimidation has ended.

The new study, published in the journal JAMA Psychiatry on Wednesday, is the most comprehensive effort to date to establish the long-term consequences of childhood bullying, experts said.

“It documents the elevated risk across a wide range of mental health outcomes and over a long period of time,” said Catherine Bradshaw, an expert on bullying and a deputy director of the Center for the Prevention of Youth Violence at Johns Hopkins University, which was not involved in the study.

“The experience of bullying in childhood can have profound effects on mental health in adulthood, particularly among youths involved in bullying as both a perpetuator and a victim,” she added.

The study followed 1,420 subjects from Western North Carolina who were assessed four to six times between the ages of 9 and 16. Researchers asked both the children and their primary caregivers if they had been bullied or had bullied others in the three months before each assessment. Participants were divided into four groups: bullies, victims, bullies who also were victims, and children who were not exposed to bullying at all.

Participants were assessed again in young adulthood — at 19, 21 and between 24 and 26 — using structured diagnostic interviews.

Researchers found that victims of bullying in childhood were 4.3 times more likely to have an anxiety disorder as adults, compared to those with no history of bullying or being bullied.

Bullies who were also victims were particularly troubled: they were 14.5 times more likely to develop panic disorder as adults, compared to those who did not experience bullying, and 4.8 times more likely to experience depression. Men who were both bullies and victims were 18.5 times more likely to have had suicidal thoughts in adulthood, compared to the participants who had not been bullied or perpetuators. Their female counterparts were 26.7 times more likely to have developed agoraphobia, compared to children not exposed to bullying.

Bullies who were not victims of bullying were 4.1 times more likely to have antisocial personality disorder as adults than those never exposed to bullying in their youth.

The effects persisted even after the researchers accounted for pre-existing psychiatric problems or other factors that might have contributed to psychiatric disorders, like physical or sexual abuse, poverty and family instability.

“We were actually able to say being a victim of bullying is having an effect a decade later, above and beyond other psychiatric problems in childhood and other adversities,” said William E. Copeland, lead author of the study and an associate professor of psychiatry and behavioral sciences at Duke University Medical Center.

Bullying is not a harmless rite of passage, but inflicts lasting psychiatric damage on a par with certain family dysfunctions, Dr. Copeland said. “The pattern we are seeing is similar to patterns we see when a child is abused or maltreated or treated very harshly within the family setting,” he said.

One limitation of the study is that bullying was not analyzed for frequency, and the researchers’ assessment did not distinguish between interpersonal and overt bullying. It only addressed bullying at school, not in other settings.

Most of what experts know about the effects of bullying comes from observational studies, not studies of children followed over time.

Previous research from Finland, based on questionnaires completed on a single occasion or on military registries, used a sample of 2,540 boys to see if being a bully or a victim at 8 predicted a psychiatric disorder 10 to 15 years later. The researchers found frequent bully-victims were at particular risk of adverse long-term outcomes, specifically anxiety and antisocial personality disorders. Victims were at greater risk for anxiety disorders, while bullies were at increased risk for antisocial personality disorder.

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Sony Unveils PlayStation 4, Aiming for Return to Glory

For the Sony Corporation, a tech industry also-ran, the moment of reckoning is here.

The first three generations of PlayStation sold more than 300 million units, pioneered a new style of serious gaming and produced hefty profits. PlayStation 4, introduced by Sony on Wednesday evening, is a bold bid to recapture those glory days of innovation and success.

The first new PlayStation in seven years was touted by Sony as being like a “supercharged PC.” It has a souped-up eight-core processor to juggle more complex tasks simultaneously, enhanced graphics, the ability to play games even as they are being downloaded, and a new controller designed in tandem with a “stereo camera” that can sense the depth of the environment in front of it.All of that should make for more compelling play for the hard-core gamers at the heart of the PlayStation market. The blood in “Killzone: Shadow Fall,” shown to an audience of 1,200 at the Hammerstein Ballroom in New York, looked chillingly real.

The device, whose price was not immediately announced, will go on sale before the end of the year.

With PlayStation 4, serious gaming is about to become much more social. A player can broadcast his gameplay in real time, and his friend can peek into his game and hop in to help. Also, they will now be able to upload recordings of themselves playing and send them to their hardcore friends, who will possibly want to watch when they are not playing themselves.

The new features, however, cannot hide the fact that PlayStation 4 is still a console, a way of playing games on compact discs that was cool when cellphones were the size of toasters and browsers were people in libraries. It was a couple of lifetimes ago, or so it seems.

Much of the excitement in gaming has shifted to the Web and mobile devices, which is cheap, easy and fast. Nintendo’s new Wii, introduced in November, has been a disappointment. Microsoft’s Xbox, the third major console, is racing to turn into a home entertainment center as fast as it can.

“Today marks a moment of truth and a bold step forward for PlayStation,” Andrew House, chief executive of Sony Computer Entertainment, told the crowd. He said the new device “represents a significant shift of thinking of PlayStation as merely a box or console to thinking as a leading authority on play.”Fine words, but the new PlayStation will have an uphill battle. Sales of consoles from all makers peaked in 2008, when about 55 million units were sold according to the research firm I.D.C. By last year, that was down to 34 million.

For 2014, Lewis Ward, I.D.C.’s research manager for gaming, forecasts a recovery to about 44.5 million.

“From peak to peak, we’ll be down about 10 million,” he said. “There was attrition to alternative gaming platforms like tablets, but the trough was exacerbated by the 2008-2009 recession. It did not permit as many people to buy who under normal economic conditions would have bought a console.”

That was reflected in Sony’s miserable financial results. The company has lost money for the last four years, hampered not only by slower console sales but also by a range of unexciting electronic products, a strong yen and the 2011 tsunami in Japan. Analysts have made dire comments about the one-time powerhouse’s viability. But Sony seems to have bottomed out, helped by a yen that has now weakened. Sony executives said earlier this month that they expected a profit in 2013.

Sony’s new chief executive, Kazuo Hirai, has a longtime personal connection to the PlayStation franchise and is making it one of the core elements of a more tightly focused company. Mr. Hirai became well-known for some of his more confident statements about the PlayStation, particularly a 2006 swipe at Microsoft: “The next generation doesn’t start until we say it does.”

Sony has teamed up with Gaikai, the online gaming company it bought last year, to store PlayStation content in the cloud. PlayStation 4 games can be streamed to the PlayStation Vita, Sony’s portable gaming device, among other features.

“The architecture is like a PC in many ways, but super-charged to bring out its full potential as a gaming platform,” said Mark Cerny, Sony’s lead system architect.

James L. McQuivey, a Forrester analyst, said that in order for the PlayStation 4 to succeed, Sony needed to think beyond gaming. The console will have to provide other types of digital content and services, like video conferencing, third-party apps and a TV service to create a deeper, long-term relationship with the customer.

By comparison, Apple, the world’s leading consumer electronics maker, does not just sell hardware. It also has an ecosystem of digital content including apps, music, movies and e-books to make people coming back for more Apple gear every year. Apple generally takes an enviable 30 percent cut of all media it sells. Microsoft, Google and Amazon are making similar moves to create ecosystems.

“Then and only then can Sony hope to learn enough about its users to overcome its own bias toward preferring to design products in response to engineering principles rather than customer needs,” Mr. McQuivey said.

Sony shares, which have risen by nearly a third this year, were little changed Wednesday before the event.

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O.C. shooting suspect identified as college student with no record

Orange County sheriff's officials on Tuesday identified the suspect in series of fatal shootings and carjackings as Ali Syed, a 20-year-old community college student with no criminal record.

Authorities don't have a motive for the shootings, which began with the slaying of a woman at Syed's  south Orange County home, spread north in a series of random and deadly carjackings, and ended with his suicide in the city of Orange.

Syed was described as an unemployed man who was taking a class at Saddleback College. He had no criminal record and was living with his parents on Red Leaf Lane in Ladera Ranch, Amormino said.

PHOTOS: Shootings at multiple locations in O.C.

Deputies were called to their home about 4:45 a.m. after his parents reported a shooting, Amormino said. Responding deputies found a woman dead inside who had been shot multiple times.

The relationship between the woman and Syed was not yet known, Amormino said, although she was not related to the suspect. The woman has not yet been identified.

Family members, including children, were at the home at the time of the shooting, Amormino said, but no other injuries were reported.

MAP: Orange County shootings

Syed fled the area and headed toward Tustin, where Amormino said "multiple incidents" occurred.

The first, authorities said, occurred near Red Hill Avenue and the 5 Freeway, where authorities received a report of a man with a gun about 5:10 a.m. The suspect attempted a carjacking, Tustin police Lt. Paul Garaven said, opened fire and wounded a bystander.

About five minutes later, the suspect stopped the BMW near the 55 Freeway in Santa Ana, officials said.

TIMELINE: Deadliest U.S. mass shootings

Around that time, authorities also received reports about a man shooting at moving vehicles on the 55 Freeway. Officials believe the man fired either while driving or after he stopped and got out of his vehicle. At least three victims have reported minor injuries or damage to their cars, and investigators asked that others who believe they may have been fired upon to contact police.

Shortly after, another shooting and carjacking was reported on Edinger Avenue near the Micro Center computer store in Tustin, Garaven said. One person was killed and another was taken to a hospital.

Co-workers identified the men as plumbers who were working at the under-construction Fairfield Inn on Edinger Avenue.

Officers spotted the suspect in a stolen vehicle, followed him into the city of Orange and initiated a traffic stop near the intersection of East Katella Avenue and North Wanda Road, Garaven said.

The suspect then shot and killed himself, authorities said. A shotgun was recovered, but officials said other weapons might have been involved earlier. 

In Orange, financial planner Kenneth Caplin said he had a clear view of the gruesome drama that unfolded Tuesday on the street outside his office.

Although the street had been blocked, Caplin parked farther away and persuaded an officer to let him walk to his office. He arrived shortly before 7 a.m., about an hour after the shooting.

From a conference room window, Caplin saw the police investigators at work, a white work truck up on a curb, and the suspect lying dead on the ground, with blood streaked across the pavement.

"It's scary.... This just happened right here," Caplin said hours later, as a team in biohazard suits scrubbed away at the street in an afternoon drizzle. "It's ludicrous."

Caplin, 71, said he is a pistol instructor for the NRA. What happened Tuesday only affirmed for him the need to stay armed.

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DNA Analysis, More Accessible Than Ever, Opens New Doors

Matt Roth for The New York Times

Sam Bosley of Frederick, Md., going shopping with his daughter, Lillian, 13, who has a malformed brain and severe developmental delays, seizures and vision problems. More Photos »

Debra Sukin and her husband were determined to take no chances with her second pregnancy. Their first child, Jacob, who had a serious genetic disorder, did not babble when he was a year old and had severe developmental delays. So the second time around, Ms. Sukin had what was then the most advanced prenatal testing.

The test found no sign of Angelman syndrome, the rare genetic disorder that had struck Jacob. But as months passed, Eli was not crawling or walking or babbling at ages when other babies were.

“Whatever the milestones were, my son was not meeting them,” Ms. Sukin said.

Desperate to find out what is wrong with Eli, now 8, the Sukins, of The Woodlands, Tex., have become pioneers in a new kind of testing that is proving particularly helpful in diagnosing mysterious neurological illnesses in children. Scientists sequence all of a patient’s genes, systematically searching for disease-causing mutations.

A few years ago, this sort of test was so difficult and expensive that it was generally only available to participants in research projects like those sponsored by the National Institutes of Health. But the price has plunged in just a few years from tens of thousands of dollars to around $7,000 to $9,000 for a family. Baylor College of Medicine and a handful of companies are now offering it. Insurers usually pay.

Demand has soared — at Baylor, for example, scientists analyzed 5 to 10 DNA sequences a month when the program started in November 2011. Now they are doing more than 130 analyses a month. At the National Institutes of Health, which handles about 300 cases a year as part of its research program, demand is so great that the program is expected to ultimately take on 800 to 900 a year.

The test is beginning to transform life for patients and families who have often spent years searching for answers. They can now start the grueling process with DNA sequencing, says Dr. Wendy K. Chung, professor of pediatrics and medicine at Columbia University.

“Most people originally thought of using it as a court of last resort,” Dr. Chung said. “Now we can think of it as a first-line test.”

Even if there is no treatment, there is almost always some benefit to diagnosis, geneticists say. It can give patients and their families the certainty of knowing what is wrong and even a prognosis. It can also ease the processing of medical claims, qualifying for special education services, and learning whether subsequent children might be at risk.

“Imagine the people who drive across the whole country looking for that one neurologist who can help, or scrubbing the whole house with Lysol because they think it might be an allergy,” said Richard A. Gibbs, the director of Baylor College of Medicine’s gene sequencing program. “Those kinds of stories are the rule, not the exception.”

Experts caution that gene sequencing is no panacea. It finds a genetic aberration in only about 25 to 30 percent of cases. About 3 percent of patients end up with better management of their disorder. About 1 percent get a treatment and a major benefit.

“People come to us with huge expectations,” said Dr. William A. Gahl, who directs the N.I.H. program. “They think, ‘You will take my DNA and find the causes and give me a treatment.' ”

“We give the impression that we can do these things because we only publish our successes,” Dr. Gahl said, adding that when patients come to him, “we try to make expectations realistic.”

DNA sequencing was not available when Debra and Steven Sukin began trying to find out what was wrong with Eli. When he was 3, they tried microarray analysis, a genetic test that is nowhere near as sensitive as sequencing. It detected no problems.

“My husband and I looked at each other and said, ‘The good news is that everything is fine; the bad news is that everything is not fine,' ” Ms. Sukin said.

In November 2011, when Eli was 6, Ms. Sukin consulted Dr. Arthur L. Beaudet, a medical geneticist at Baylor.

“Is there a protein missing?” she recalled asking him. “Is there something biochemical we could be missing?”

By now, DNA sequencing had come of age. Dr. Beaudet said that Eli was a great candidate, and it turned out that the new procedure held an answer.

A single DNA base was altered in a gene called CASK, resulting in a disorder so rare that there are fewer than 10 cases in all the world’s medical literature.

“It really became definitive for my husband and me,” Ms. Sukin said. “We would need to do lifelong planning for dependent care for the rest of his life.”

This article has been revised to reflect the following correction:

Correction: February 19, 2013

An earlier version of this article misstated the name of a medicine taken by two teenagers who have a rare gene mutation. The drug is 5-hydroxytryptophan, not 5-hydroxytryptamine.

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